Equity Residential has had its eye on the Archstone portfolio for a while now. But after several unsuccessful bids to obtain a controlling stake in the Lehman Brothers–owned Archstone, Chicago-based Equity has finally gotten the big prize it's been after.
In an agreement announced today with Lehman, Equity will become the new owner of a 60 percent stake in Archstone’s assets and liabilities. The remaining 40 percent was snatched up by Arlington, Va.–based AvalonBay in a partnership that hands over approximately $16 billion in aggregate to Lehman from the two multifamily powerhouses. The transaction is set to close during the first quarter of 2013 and will set the acquisitions bar astronomically high for next year.
Here’s a look at exactly where and how many new units each REIT will be adding once the ink dries on this gargantuan deal:
Equity Residential
Market |
Number of Properties |
Number of Units |
Washington, D.C. |
24 |
7,578 |
San Francisco |
14 |
4,827 |
Southern California |
12 |
3,374 |
New York |
10 |
2,638 |
Boston |
8 |
1,984 |
Seattle |
7 |
1,841 |
South Florida |
1 |
196 |
All other markets |
2 |
672 |
|
78 |
23,110 |
AvalonBay
Market |
Number of Properties |
Number of Units |
New England |
2 |
548 |
Metro N.Y./N.J. |
4 |
1,573 |
Mid-Atlantic |
18 |
5,311 |
Pacific Northwest |
2 |
588 |
Northern California |
9 |
3,251 |
Southern California |
23 |
8,507 |
Noncore |
2 |
778 |
Development |
6 |
1,666 |
|
66 |
22,222 |